Case Studies
J.S. Held Acquires GLI Advisors, Strengthening Our Construction Project Support Services in the Western US and Hawaii
Read MoreThe operator of five urgent care clinics located in Southern California had defaulted on two bank loans, after failing to attract sufficient walk-in business, and was facing a pending $2 million judgment in a wage-and-hour class action lawsuit brought by former employees. The bank and its borrower had suffered through a lengthy dispute over resolving the defaults, and the bank was at risk of losing control of the business’s assets to the class action lawsuit’s judgment creditor.
As receiver of the insolvent urgent care clinics, our experts quickly determined the clinics’ bank was at risk of repayment due to poor cash flow and a pending $2 million wage-and-hour class action lawsuit. We managed the clinics while successfully negotiating a going-concern sale of 3 clinics to their hospital-landlord.
Unexpectedly, the clinic owner filed for bankruptcy 30 minutes before the hearing to approve the sale.
Our experts were appointed monitor by the bankruptcy court and continued to pursue an exit strategy for the bank. After 15 months and $1 million in fees, the bankruptcy judge granted relief from stay and proposed the original deal we had negotiated – the going-concern sale of 3 of the clinics to their hospital-landlord.
Obstacles Encountered & Our Solutions
Jake Diiorio
Managing Director
Strategic Advisory Practice
+1 213 235 0609
[email protected]
> Receiverships
Federal and state courts, creditors, and legal counsel choose our team to serve as Receiver of distressed businesses and real estate entities. We stabilize operations and cash flow, safeguard business assets, and pursue methods to maximize financial recovery. Our multidisciplinary team applies a wide breadth of restructuring and industry experience as Receiver to take control of companies facing financial, operational, and legal issues.
> Solutions for Distressed Situations
We deliver integrated solutions for distressed and insolvent businesses that maximize recovery, mitigate risk, and restore enterprise value. Our experts are retained to help distressed organizations stabilize operations, protect stakeholder interests, and execute turnaround strategies. We take an operationally-focused approach that looks beyond the balance sheet to minimize further degradation and build a path to sustainable growth.